Egyptian firm to invest in NKorean cement plant

0 Comments | AFP, July, 2007

SEOUL (AFP) — An Egyptian group has sealed a 115 million dollar deal to invest in a North Korean cement plant, press reports and Pyongyang's state media said Monday.

Orascom Construction Industries and the Pyongyang Myongdang Trading Corporation have signed a joint venture agreement to renovate and operate the Sangwon plant, the Korean Central News Agency said.

Britain's Financial Times said Orascom would invest 115 million dollars in a 50 percent stake in Sangwon with the aim of raising its annual capacity to three million tonnes.

Apart from South Korean-funded projects, foreign investment in the hardline communist state is relatively small. A US commercial embargo has also deterred other potential Western investors.

But relations have eased since...